People Manager Competency Framework: 4 Levels and 7 Core Leadership Domains

A people manager competency framework turns “good leadership” from something fuzzy into clear, shared expectations. You get a practical grid of behaviors per level, so Beförderungen, feedback, and development conversations become transparent. Managers see what’s expected next; HR and Betriebsrat gain a consistent basis for performance, talent, and engagement decisions across the organisation.

Competency domain	Emerging Manager / Team Lead (leads 3–8 people)	Manager (leads one team, 6–15 people)	Senior Manager / Head of (leads multiple teams, 15–40 people)	Director (leads a unit/department, 40–150+ people)
Leading Self (Selbstführung)	Asks for feedback every sprint; adapts habits within weeks. Manages own energy and workload reliably.	Identifies personal trigger patterns; uses reflection and coaching to stay constructive under pressure.	Shares own mistakes openly; normalises learning cycles after failures across teams.	Sets clear leadership principles; funds manager programmes that build resilience and psychologische Sicherheit.
Leading Individuals (Einzelführung)	Runs regular 1:1s with agendas; clarifies priorities weekly; gives specific, kind feedback on behaviour and impact.	Uses coaching questions in 1:1s; co-creates goals; documents agreements and follow-ups so nothing is lost.	Builds clear role expectations for all reports; ensures underperformers get structured support, not surprise Kritik.	Sets consistent standards for people management quality; mentors managers on tough cases and labour-law safe practice.
Leading Teams (Teamführung)	Translates company goals into 2–3 concrete team outcomes; keeps daily stand-ups focused and time-boxed.	Designs simple rituals (retros, planning); resolves most team conflicts early; ensures responsibilities are clear.	Aligns several teams on shared roadmaps; removes structural blockers between functions (e.g. Product–Sales).	Defines organisational operating model; sponsors cross-unit initiatives; balances efficiency and innovation in portfolio decisions.
Performance & Talent Development (Leistung & Talententwicklung)	Sets individual Ziele with manager support; tracks progress visibly; recognises wins in team meetings.	Owns goal-setting and reviews for the team; runs fair calibrations with peers; spots and sponsors high-potentials.	Builds a talent pipeline for key roles; partners with HR on succession and internal mobility plans.	Defines leadership standards and promotion criteria; approves talent slates; aligns budgets with strategic skill needs.
Communication & Change (Kommunikation & Veränderung)	Explains decisions in simple language; checks understanding; shares changes early, not last minute.	Translates Bereichsstrategie into clear messages for the team; manages stakeholders proactively (e.g. Product, HR, Betriebsrat).	Leads change initiatives end-to-end; creates communication plans; monitors sentiment and adapts formats.	Owns narrative for major changes (re-orgs, strategy shifts); ensures transparency and participation where Mitbestimmung applies.
Culture, Inclusion & Psychological Safety (Kultur, Inklusion & psychologische Sicherheit)	Invites all voices in meetings; role-models respectful language; intervenes when behaviour crosses agreed lines.	Co-creates team norms; reacts to microaggressions; uses feedback surveys to adjust ways of working.	Monitors diversity and inclusion indicators; removes systemic barriers in hiring, pay and development.	Defines cultural guardrails; integrates DE&I into leadership principles; partners with HR and Betriebsrat on policies.
Data, Decisions & AI in Leadership (Daten, Entscheidungen & KI)	Uses simple KPIs (e.g. SLA, NPS, velocity) in weekly planning; documents decisions and assumptions.	Combines qualitative feedback and metrics to decide; tests small experiments; introduces simple dashboards.	Analyses cross-team trends; challenges gut-feel decisions with data; pilots AI tools (e.g. Atlas, Sprad Growth) with HR.	Sets expectations for data-informed leadership; ensures AI use is GDPR- and Betriebsrat-konform; funds analytics capability.

Key takeaways

Use the matrix to run consistent performance and promotion decisions for managers.
Anchor feedback in concrete behaviours, not personality or vague “leadership presence”.
Turn each domain into a development focus with 2–3 clear next-step actions.
Use calibration rounds to align manager levels across teams and reduce bias.
Link the framework with OKRs, surveys and manager training for real impact.

What this people manager competency framework is for

This people manager competency framework describes observable leadership behaviours for four manager levels in DACH organisations. You use it as a shared reference in performance reviews, talent reviews, promotion committees and development planning. Evidence comes from goals, projects, feedback and surveys. Because the language is concrete, HR, Führungskräfte, employees and Betriebsrat can align on fair, transparent decisions.

Skill levels & scope

Many DACH companies have “Teamleiter”, “Head of” and “Director” titles, but no shared view of scope. That fuels frustration: 95% of managers report dissatisfaction with their evaluation process when expectations stay vague (Sprad research, 2025). Clear levels in a people manager competency framework define not just seniority, but typical impact, decision rights and stakeholders.

Emerging Manager / Team Lead leads 3–8 people, often in one location or squad. Focus: daily delivery, basic people processes, first conflict situations. Decisions cover task prioritisation and small process tweaks; budget and headcount are usually decided above.

Manager leads one full team, usually 6–15 people with mixed profiles. They own team results end-to-end, run all core people processes and coordinate with peers (e.g. other teams, HR, Product). Autonomy grows: they set priorities within a given strategy and manage a small budget or cost centre.

Senior Manager / Head of leads multiple teams or a full function in one country. Scope includes portfolio decisions, structure, staffing and succession topics. They balance different stakeholders (e.g. Geschäftsführung, Betriebsrat, Finance) and shape mid-term strategy, not just quarterly plans.

Director steers an entire business unit or region. They make high-impact decisions on organisation design, larger budgets and strategic initiatives. Their people leadership happens mostly via other managers; they are role models for the whole leadership culture.

Hypothetical example: A Senior Manager in a SaaS scale-up restructures three teams after a strategic shift. They design new roles, align with HR and Betriebsrat, and guide their managers through change. A Team Lead in the same company would focus on adjusting their own team’s backlog and supporting affected individuals.

Describe typical team size, budget range and decision autonomy per level in your job architecture.
Link each manager role to clear outputs (e.g. “delivers roadmap X”, “owns P&L Y”, “builds successor bench”).
Check titles vs. scope: rename or relevel roles where expectations and reality diverge.
Use a simple role card for each level in performance and talent review meetings.
Align promotion committees on “scope first, salary second” to avoid title inflation.

Competency areas

The seven domains in this people manager competency framework map to three big questions: How do you lead yourself, how do you lead others, and how do you steer performance and change in the system? Together they connect directly to Performance, Talent and Engagement pillars in HR.

Leading Self covers self-awareness, reflection, resilience and boundaries. Managers who understand their patterns manage stress better and avoid passing pressure unfiltered to teams.

Leading Individuals bundles 1:1s, coaching, delegation and performance feedback. Good Einzelführung means people know what is expected, receive regular Spiegelfläche and feel supported in growth.

Leading Teams focuses on shared purpose, collaboration, decision rules and conflict handling. Teams with clear goals and norms deliver more reliably and need fewer Eskalationen.

Performance & Talent Development links goals, reviews, talent calibration and career paths. Here you connect to your broader performance management approach and internal talent pipelines.

Communication & Change ensures people understand why decisions happen and what changes for them. Poor change communication is a main driver of disengagement; 71% of mid-level managers in one study reported burnout under vague expectations.

Culture, Inclusion & Psychological Safety defines how managers create belonging, fairness and safe learning climates. This includes everyday behaviour, decisions on pay and promotions, and how conflict is handled.

Data, Decisions & AI in Leadership reflects that Führung today includes working with data and KI tools safely and effectively. This touches people analytics, planning, and tools like Atlas AI or Copilot – always under GDPR and works-council guardrails.

Example: A Head of Customer Success in a Munich SaaS company uses retention data, NPS scores and 1:1 notes to decide which clients need attention, which CSMs need coaching, and where to pilot AI-based playbooks.

Keep 5–7 domains; avoid 20+ micro-competencies that nobody remembers.
Check each domain against strategy: “If we double revenue, which behaviours matter most?”
Map domains to existing processes like OKRs, 1:1 templates, engagement surveys and L&D offers.
Tag each leadership training to domains so managers see what they build.
Document 2–3 typical outcomes per domain (e.g. lower attrition, better Zielerreichung) for leadership buy-in.

Rating & evidence

Ratings turn a people manager competency framework into decisions. Without a clear scale and evidence rules, ratings drift and bias creeps in. Behaviourally anchored scales (BARS) reduce this by describing observable behaviours per rating step, not just labels like “meets expectations”.

Score	Label	Definition
1	Developing	Inconsistent behaviour; needs close guidance and frequent correction in this domain.
2	Partially meets	Delivers basics; some gaps or instability; needs clear development focus and support.
3	Fully meets	Shows behaviours reliably without extra support; trusted for this domain.
4	Strong role model	Consistently exceeds; teaches others; shapes team or organisational practice.

Example “Case A vs. Case B” in Leading Teams: Case A (Team Lead) stabilises one team after conflict, using retros and clear agreements. Case B (Head of) resolves similar issues across three teams and redesigns interfaces with Sales and Product. Same type of problem; different scope and sustainability, so ratings and levels differ.

Define 3–5 behaviour examples per score and domain to support calibration.
Agree evidence sources: OKRs, project reports, 1:1 notes, 360° feedback, employee survey results.
Ask reviewers to attach at least two concrete examples per rating in performance forms.
Use a shared template or skill matrix for manager assessments.
Train managers with sample cases and “rate & debate” exercises to align interpretations.

Growth signals & warning signs

A strong people manager competency framework helps you see who is ready for more scope, and where brakes are still on. Promotion decisions become less about who “feels senior” and more about who already acts at the next level over time, not just in one big project.

Growth signals often include: stable performance in current scope, taking informal responsibility beyond role, proactive coaching of peers, and improving systems rather than only fixing symptoms.

Warning signs include: blaming others, silo thinking, poor documentation, repeated complaints to HR, or strong fluctuations in team engagement or turnover without clear learning.

Example: Two Managers run similar-sized teams. One consistently documents decisions, shares context, and grows a deputy. The other delivers results but burns people and ignores feedback. Only the first shows readiness for a Head-of role.

List 5–7 growth signals and 5–7 warning signs for manager readiness in your career framework.
Use 12–18 months of evidence; avoid promotions based on one crisis or one “hero project”.
Compare team-level data (engagement, turnover, sick leave, goal achievement) before promotions.
In promotion committees, ask: “Where does this person already operate one level up?”
Document decisions and rationales; link declined promotions to clear, agreed development steps.

Team check-ins & review sessions

A framework only works if you use it in real conversations. The most effective organisations make it part of 1:1s, team reflexions and formal calibration meetings. That connects daily behaviour to long-term careers and to your broader skill framework guides.

Team check-ins: Managers pick one domain per quarter (e.g. “Leading Teams”) and discuss with their reports which behaviours they see and which they want more of. This keeps leadership expectations visible and invites bottom-up feedback.

Review and calibration rounds: Once or twice per year, managers and HR meet to discuss manager ratings and promotions using the same tables and rating scale. Bias and outliers are easier to spot when looking across several teams.

Hypothetical example: In a bi-annual calibration for managers in a German manufacturing group, HR notices that “Communication & Change” ratings differ strongly between plants. A joint review of evidence shows one plant manager over-rating because they value charisma; the framework re-anchors the discussion on outcomes.

Integrate one domain of the framework into every second or third 1:1 agenda.
Run quarterly informal “manager circles” where leaders share examples per competency area.
Schedule calibration meetings with pre-read evidence, clear roles and anti-bias checklists.
Use tools like Sprad Growth or Atlas AI to prepare summaries and highlight behaviour examples.
Coordinate with Betriebsrat on documentation rules, access rights and retention periods.

Interview questions

Use the people manager competency framework directly in hiring for Team Leads, Heads of and Directors. Behaviour-based questions ask candidates for specific situations, actions and outcomes. Always follow up with “What exactly did you do?” and “What changed because of that?”

Leading Self

Tell me about a recent mistake as a Führungskraft. How did you react and what changed afterwards?
Describe a period of high stress. How did you manage your workload and emotions?
When did you receive tough feedback from your manager or team? What did you do with it?
How do you keep your own skills current, for example in digital or AI topics?
Tell me about a boundary you set to protect your or your team’s capacity.

Leading Individuals

Describe a situation where a team member was underperforming. What steps did you take, and with which outcome?
Tell me about a 1:1 that turned a difficult relationship around. What did you change?
Give an example of delegating something important. How did you ensure quality and learning?
When have you given feedback that a colleague found hard to hear? How did you prepare?
Walk me through how you set goals with a new team member in their first 90 days.

Leading Teams

Tell me about a time you reshaped how your team collaborates. What triggered it and what improved?
Describe a serious team conflict. How did you approach it and what remained different afterwards?
Give an example of aligning your team on a new Ziel or KPI set.
When did you have to push back on unrealistic expectations to protect your team?
How have you onboarded several new people without losing performance?

Performance & Talent Development

Walk me through your last performance review cycle as a manager. How did you prepare and run it?
Tell me about someone you helped grow into a bigger role. What concretely did you do?
Describe a time you used data from reviews or OKRs to adjust your team’s strategy.
How have you handled a promotion decision where opinions differed?
What is your approach to succession planning for key roles in your team?

Communication & Change

Describe a major change (tool, process, restructuring) you led. How did you communicate before, during and after?
Tell me about a time your team disagreed with a decision from oben. How did you handle it?
Give an example of adapting your message for different audiences, for example Geschäftsführung and frontline team.
When did you have to share bad news? How did you limit rumours and uncertainty?
How do you involve your team in improving processes rather than just informing them?

Culture, Inclusion & Psychological Safety

Tell me about a time someone in your team felt excluded. What did you notice and how did you respond?
Describe a moment when you were challenged or criticised by a team member. How did you react?
How do you make sure quieter voices are heard in meetings or workshops?
Give an example of addressing behaviour that clashed with your cultural values.
What have you done to support diversity and inclusion beyond just talking about it?

Data, Decisions & AI in Leadership

Describe a recent decision where data changed your initial opinion. What data and what impact?
Tell me about a metric or dashboard you established for your team. Why that one?
How have you used digital or AI tools (e.g. agenda suggestions, feedback summaries) in your leadership?
Give an example of balancing data with qualitative feedback in a people decision.
What governance or privacy considerations do you see when using people data or KI as Führungskraft?

Implementation & updates

Rollout in DACH needs both pragmatism and governance. Under §94 BetrVG, introducing a new formal evaluation system triggers Mitbestimmung. Involving Betriebsrat early, clarifying purposes and data use, and aligning with GDPR rules on access and retention prevents long delays later.

Start with a small design group of HR, 5–10 representative managers (different levels, genders, locations) and – where sensible – a Betriebsrat delegate. Adapt wording, examples and evidence rules to your culture, but keep structure and clarity. Pilot one business unit for a full review cycle, then adjust.

Digital tools like Sprad Growth with Atlas AI or other talent management platforms can store the framework, pull evidence from goals and 1:1s, and surface behaviour examples. This reduces manual work and gives leaders and HR one shared view, as described in Sprad’s talent development resources.

Co-design v1.0 with a cross-section of managers, HRBPs and, where required, Betriebsrat.
Run DPIA / GDPR checks: legal basis, retention periods, access control, export and deletion routines.
Pilot with one area, using the framework in hiring, reviews and development plans for 6–12 months.
Train managers with concrete cases, role plays and job aids; avoid only slide decks.
Assign an owner in HR who updates the framework annually with manager feedback and strategy shifts.

Conclusion

A clear people manager competency framework brings three benefits: shared expectations, more fairness, and stronger development focus. Leaders know what “good” looks like at each level. Employees see how promotions are earned, not gifted. HR and Betriebsrat can point to transparent, behaviour-based criteria instead of Bauchgefühl.

Treat this as a living system, not a static PDF. Connect the framework to goals, reviews, talent decisions and manager development initiatives like AI coaching for managers or broader AI training for HR teams. That way, every leadership conversation reinforces the same language and expectations.

Concrete next steps might look like this: In the next 4–6 weeks, run a half-day workshop with 15–20 managers to localise wording and examples. In the following quarter, use the framework in your next manager performance review cycle and schedule one calibration meeting to test ratings. Over the next 12 months, refine levels and behaviours based on feedback, and link them to promotion guidelines and leadership programmes. Step by step, you build a consistent, trusted leadership backbone for your organisation.

FAQ

How do we use the framework in day-to-day management, not only in reviews?

Pick one or two domains per quarter and weave them into your 1:1s, team meetings and retros. Ask managers and employees to bring concrete examples for those behaviours. Capture short notes in your HR or performance tool. Refer back to the same domains in development plans and goal-setting. Over time, this repetition builds a shared leadership language without extra bureaucracy.

How can several departments rate managers consistently with this framework?

Start with a joint calibration session before each review cycle. Use 3–5 anonymised manager cases from different Bereiche and ask leaders to rate them individually first, then discuss differences. Use the framework and rating scale to anchor debate on behaviours and impact, not sympathy. Document agreed “rules of thumb” and update them each cycle. This creates enough alignment without chasing perfect mathematical calibration.

How does the framework shape career paths for Team Leads up to Directors?

Map each level in the framework to a role in your career architecture, with expected scope and typical timelines. In career talks, managers and HR can show people where they stand per domain and which 2–3 behaviours signal readiness for the next level. This makes career paths more predictable and reduces “hidden rules”. Combined with internal mobility or talent marketplace tools, this builds visible development routes.

How does the framework help reduce bias in manager evaluations?

Bias shrinks when you focus on observable behaviour, use several data points, and involve multiple voices. The framework forces reviewers to describe concrete examples, not general impressions. Combine this with 360° feedback, calibration meetings and bias checklists. According to a Harvard Business Review article, structured, behaviour-based assessments lead to more valid and trusted talent decisions than unstructured judgments.

How often should we update the people manager competency framework?

Plan a light review every year and a deeper one every two to three years. Each year, collect feedback from managers, employees, HRBPs and Betriebsrat: Which behaviours feel off? Where are definitions unclear? Also check alignment with strategy and new requirements, such as AI literacy or remote leadership. Keep changes incremental so managers don’t lose familiarity, and maintain clear versioning so you can trace which framework applied in which review cycle.

Jürgen Ulbrich

CEO & Co-Founder of Sprad

Jürgen Ulbrich has more than a decade of experience in developing and leading high-performing teams and companies. As an expert in employee referral programs as well as feedback and performance processes, Jürgen has helped over 100 organizations optimize their talent acquisition and development strategies.

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